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Bitcoin Miner Argo Shares Drop After Fundraising Fails

Bitcoin miner Argo Blockchain Pls tumbled the most since its 2018 initial public offering in London.

By: BLOOMBERG
Updated on: Nov 01 2022, 01:45 IST
Bitcoin miner Argo Blockchain Pls tumbled the most since its 2018 IPO. (REUTERS)

Bitcoin miner Argo Blockchain Pls tumbled the most since its 2018 initial public offering in London after a $27 million share sale appeared to have collapsed, prompting the company to warn that it might have to shut down.

The stock dropped as much as 73% and traded at £9.375 at 10:15 a.m. in London on Monday, down 40%. Argo has fallen 90% this year, as a slump in cryptocurrency prices roiled the mining industry.

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Argo said in a statement on Monday that it raised about $5.6 million by selling almost 4,000 new Bitmain mining machines and is exploring other funding avenues.

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“Should Argo be unsuccessful in completing any further financing, Argo would become cash flow negative in the near term and would need to curtail or cease operations,” Argo said in the statement.

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First Published Date: 01 Nov, 01:45 IST
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